Morgan Stanley Maintains OW Rating on Marvell Technology

“As we noted in our earnings preview,” Morgan Stanley reports, “we expected Marvell Technology Group Ltd. (NASDAQ: MRVL) to recognize the negative impacts from the Japanese earthquake in FQ1, so its performance at the low end of guidance is not a surprise.”

“That said,” Morgan Stanley continues, “we believe investors continue to underestimate MRVL's numerous product cycles. Furthermore, the company, raising its guidance to $870-910M in revenue next quarter, with EPS between $0.35 and $0.39, also gives us comfort that MRVL should benefit from market tailwinds in 2H11. Therefore, we remain Overweight.”

Marvell Technology Group closed Thursday at $14.56.